Synergizing Public Facilitation and Private Capital: A Framework for Strengthening Entrepreneurship Development in India

Abstract

India's entrepreneurial landscape consists of two major support streams. Micro, Small and Medium Enterprises (MSMEs) depend primarily on public sector institutions for compliance guidance, documentation support, and access to credit scliemes; while innovation-drivenstart-upsrely on private intermediaries for mentoring, incubation, and investment. Although these systems individually strengthen India 'senterprisebase,their limited interaction restricts enterprise progression and limits opportunities for scale. This study examines the functioning of both support systems, analyses challenges encountered by entrepreneurs, and proposes the Public-Private Entrepreneurship Development Framework (PPEDF) as an integrated model to enhance enterprise continuity . Drawing from qualitative insights andexisting literature, the paper finds that entrepreneurs face documentation complexity, capability gaps, uneven awareness of incentives, and variedregulatoryinterpretations. Public-private integration models such as lN-SPACe, the Biotechnology Industry Research Assistance Council (BIRAC), the Digital Public Infrastruc tureeco system, and Atai innovation Mlssion collaborations demonstrate pathways for coordinated action. The PPEDF identifies four connected stages through which public and private institutions work together to support enterprises at every phase of their growth. The paper ends by recommending practical steps such as creating common documentation systems, jointly delivered training programmes, clear pathways for enterprise growth, and integrated institutional platforms. These measures can help build a more connected, efficient, and supportive entrepreneurial ecosystem in India.